The UK has the second-biggest aerospace and defence sector in the world. But swoops on firms including Ultra Electronics and Meggitt have increased fears that this is in jeopardy with jobs, intellectual property and cutting-edge technology at risk of going overseas.
US private equity giant Advent International offered £2.6billion for Ultra in July, upsetting politicians and experts. They pointed out the supplier to the armed forces also makes submarine-hunting kit – and that Advent bought Cobham for £4billion in 2020, selling more than half of it in 18 months.
A £6.3billion move on Meggitt by US rival Parker-Hannifin also hit opposition. Business Secretary Kwasi Kwarteng decides on both cases next year.
The new National Security and Investment Act means the Government must study deals in 17 industries, which could halt Viasat’s £5.4billion move on satellite firm Inmarsat and Nvidia’s £30billion swoop on Arm Holdings.
Read more/Source: This is Money
Can't stop reading? This and all news articles are property of their creators, many are not owned or provided by Private Equity Insider. As an event organizer and community platform, we curate content from reliable sources for your suggested reading, and advise you to read the full articles from the referenced authors and sources.